WASHINGTON -- The Nationals agreed to terms on a two-year, $3.2 million contract with reliever Jon Rauch on Saturday, thus avoiding arbitration. Rauch will make $1.2 million in 2008 and $2 million in '09. There's also a $2.9 million club option for the 2010 season. The option must be picked up within five days after the 2008 World Series.

Rauch has been a workhorse for the Nationals the past two years, appearing in 173 games. In 2007, Rauch was clearly the team's best pitcher. He appeared in a Major League-leading 88 games and won a team-leading eight games with a 3.61 ERA.

Last November, Rauch gave credit to a lot of people within the organization for his success in 2007.

"It's a group effort, all the way from upper management down to the guys on the field every day," Rauch said in an e-mail. "[General manager Jim] Bowden gave me an opportunity to pitch here, along with [manager] Manny [Acta] giving me the ball in situations that I love to pitch in.

"The catchers did an outstanding job, with [Jesus] Flores stepping up and filling in on days that [ex-Nat Brian] Schneider couldn't go. The game plans that [pitching coach Randy] St. Claire and Brian came up with [were] second to none and have been proven, as long as they are executed properly. And then, you can't forget the guys on the field that make the plays, of which many saved me on many occasions."

By agreeing to terms with Rauch, the Nationals only have one player -- infielder Felipe Lopez -- who remains arbitration-eligible. It appears that Lopez will be going to the arbitration table. He is asking for $5.2 million, while the Nats have countered with a $4.9 million deal. Lopez is coming off his worst season as an everyday player, hitting .245 with nine home runs and 50 RBIs.